Analysis on the Influence of Intelligent Algorithm Trading in Financial Market

As a means to realize the intellectualization and automation of trading by using advanced mathematical models and computer technology, intelligent algorithm trading significantly improves the trading speed and efficiency, shortens the trading time window through millisecond decision-making and execution, reduces the potential losses caused by market fluctuations, and improves market liquidity and trading accuracy. However, it also brings risks such as technical failure and market manipulation. While emphasizing the trading opportunities of intelligent algorithm, this paper pays attention to its potential risks, and puts forward some suggestions on improving technology and strengthening supervision. The research points out that only through technological innovation, supervision strengthening and risk management can we ensure that intelligent algorithm trading can promote the development of financial markets without endangering market stability. In the future, with the technological progress and market maturity, the application prospect of intelligent algorithm trading will be broader.